This is one of the outcomes of the work of the Massachusetts Evaluation Service Center for Occupational Education (ESCOE). After an overview of the Performance Test Development Project, a summary of the major products and byproducts is presented. The major products are: (1) a set of clearly defined, well-structured, and consistent behavioral objectives, usable in the development of criterion-referenced test items; (2) a set of criterion-referenced test items, associated with these objectives, which form the basis of an item bank; and (3) a course guide for teachers on the use of the objectives and items. Useful byproducts include the process of objective and item development, the model items for the area of electronics, the creation of a consistent format for the production of objective and item cards, and materials for teachers and State Departments of Education. The remainder of the report elaborates on criterion-referenced measurement, item banking, the processes of item development, item analysis, and a teachers' guide to test construction. Included in the document are a seven-item bibliography and two appendixes, a proficiency examination for prospective candidates for a vocational teacher program, and a 77-page sample of computer output from an objective and item bank. (Author/BP)